How To Start A P2P Cryptocurrency Exchange Platform in UAE?

Published in

CryptoNiche

5 min readDec 8, 2023

Cryptocurrency exchange development company in UAE

In recent years, the crypto industry has grown rapidly and UAE is becoming a major player in this sector. UAE’s business-frienldy environment and clear regulations make it an attractive location for setting up a Peer-to-Peer (P2P) Crypto exchange.

P2P Crypto exchanges have long been a profitable business venture for dealers. As there is no involvement of intermediaries, users can communicate directly with each other regarding cryptocurrency prices. Users find it convenient because they don’t have to wait for a trading engine to match orders for purchases and sales. With P2P exchanges offering additional benefits, many businesses anticipate launching a P2P cryptocurrency exchange in the near future.

Because of the escrow system functionality, people trust P2P exchanges more than they do other centralized exchanges. Users won’t need to rely on a governing body to control transactions. Instead, the buyer only receives crypto coins from the escrow mechanism if the equivalent amount in fiat currency has been received, it serving as a safeguard against fraud.

Therefore, the security and transparency aspects highlight the motives of UAE startup’s search for prominent business concepts. Alright, now let me provide you the info of how to start a P2P crypto exchange in UAE…

Steps to start a P2P crypto exchange in UAE

Regarding P2P cryptocurrency exchange, the development process of the exchange involves several steps such as…

Before Launch Process

This phase involves gathering the client’s requirements and doing research based on the business concept. The cryptocurrency exchange development company must provide a robust solution in addition to working with their professionals to plan the layout.

UI/UX design kicks off the P2P crypto exchange development process when planning and layout are finished. Development and testing come after the design phase, and the exchange is then put live on the server.

Get Legal Licences

Obtain the relevant licences and register your business. A licence from the DMCC (Dubai Multi Commodities Centre) or another appropriate body is usually required in UAE. Mainly Comply with KYC (Know Your Customer) and AML (Anti-Money Laundering) Laws.

Development Methods

Generally, there are two types of methods for developing a P2P crypto exchange. One is developing from the level of scratch and using a P2P exchange script.

By developing a exchange from scratch, entrepreneurs can provide their users a distinctive experience. Each and every P2P exchange component is developed from the scratch so does the developers must need more time and effort to the process, it may take up to a year. Therefore, this process might only be suitable for entrepreneurs who want to devote a significant amount of funds and efforts to the development of P2P exchange.

For businesses who have not yet proven their worth in the crypto market, the using of script method is the best solution. P2P crypto exchange script is a pre-developed software solution that helps to launch the exchange quickly and effectively. Within a week or two the P2P exchange can launched using this script. Thus, this method continues to be the best way to launch a P2P exchange.

After Launch Process

The development company manages maintenance after the product is launched. They’ll acknowledge and address any feedbacks from the users or reviewers as quickly as possible. Ensuring that clients are satisfied with the platform during their visits requires regular functional testing of the product.

These are the basic steps involved in starting a P2P crypto exchange in UAE. Additionally, let me provide you the revenue streams of a P2P crypto exchange below…

Potential Revenue From a P2P Crypto Exchange in UAE

The vast potential of launching a P2P crypto exchange is often overlooked by startups. Initially, the quantity of users accessing the exchange would be the primary focus. However, Long-term profit potential is extremely high for starting a P2P cryptocurrency exchange platform.

Trading and Listing Fees

Each trade that occurs is subject to a minor commission charged by the P2P exchange admin. Platforms still profit from this fee even if it is typically on the lesser side in P2P exchanges. In order to attract additional users to the exchange, the fee can be changed. To attract more users to their platform, many business owners would rather maintain extremely low transaction fees.

A lot of brand new cryptocurrency listings on the exchange are prominent. The platform levies a tiny fee for each new cryptocurrency that is listed on the P2P exchange. Only a few exchanges offers the ability to list new cryptocurrencies and this charge is optional.

Fee for Advertising

For P2P exchanges, advertising fees account for the majority of their earnings. Users must create buy and sell advertisements for trading purposes. There is a minor price associated with creating ads. Free advertisements are occasionally accepted on certain exchanges which they cover with trade fees.

Affiliate Marketing

The platform admin can make a significant amount of money with affiliate marketing. By recommending other products via an affiliate program, an admin can profit from a spike in user traffic to their exchange. On any platform, this is among most popular ways to generate revenue.

Final Thoughts

Starting a P2P cryptocurrency exchange in UAE is an intriguing and potentially lucrative endeavour. But to succeed, you need to have a solid marketing plan, technological expertise, legal compliance, and powerful marketing strategy. UAE is a great place for crypto entrepreneurs because of its clear regulations and friendly business environment.

However, starting a crypto exchange in UAE comes with a number of laws, rules, regulations and restrictions. It is also required that you understand DED, FSRA, ADGM, and so forth.

Consider working with a reputable P2P cryptocurrency exchange development company for reliable guidance on setting up your P2P exchange in UAE. Look for the company who has a number of experience in the field and go though they clients’ reviews in order to verify their worth.